Murdoch-backed tech startup sinks into administration, saying it has been crushed by Google

Unlockd, an Australian advertising startup backed by
Lachlan Murdoch, has gone into administration after a battle
with Google about whether its app is allowed on the Play
Store.

Google tried to disable Unlockd's ad content and ban
its app, which lets users opt into ads and offers in exchange
for rewards.

Unlockd won an interim injunction this year to prevent
a ban, but said the fight meant it had to cancel its IPO and
that it couldn't raise replacement cash.

Google has disputed Unlockd's version of events, saying
the firm's app breached its policies.

Google doesn't need any more scrutiny over its monopoly
power right now.

Australian media startup Unlockd has gone into administration
after a battle with Google, which tried to disable its ad content
and ban its app from the Play Store.

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The Unlockd app, which is backed by Rupert Murdoch's son Lachlan,
lets mobile users view ads, content, and offers based on their
interests in exchange for rewards. It is only available on
Android.

The company said it was planning to go public when Google
threatened to ban its service from Google Play. Google also
threatened to revoke Unlockd's access to its AdMob in-app
advertising service, saying the startup breached its policies.

The company said in an update on Tuesday that the fight had come
at a cost: "[The] ramifications of Google's actions have had and
continue to have a deep impact on the business when considering
the valuation of Unlockd prior to these threats and the
postponement of the planned IPO, which would have fueled the
continued growth and expansion of the business," it said.

The public offering would have given Unlockd more funding for its
operations and, the company said, it hadn't been able to attract
replacement capital in the meantime. Now it's gone into
administration and is looking for a potential buyer or new funds.

"As such, we have not been able to secure the capital we had
expected to replace the IPO and therefore have been left no
choice but to move into voluntary administration," the firm said.

Google did not immediately respond to a request for comment, but
disputed Unlockd's version of events
to ABC Australia.

A spokesman said: "We explained our concerns to Unlockd, outlined
how they could fix the problems or use alternatives, and gave
them time to make changes."

According to Google's policies, apps can't interfere with ads or
the way other apps work.

The Google spokesman added: "[Despite] having agreed at the
outset to comply with our product policies, apps using [Unlockd]
technology remain in infringement today."

Unlockd claimed that Google approved its app for use on AdMob,
and had said the app was consistent with the search firm's
policies.

The startup accused Google of abusing its dominant position in
mobile, and of squashing emerging competition.

"Until wide-reaching change is brought about to prevent companies
like Google from abusing their dominant market positions,
consumers and innovation will continue to suffer," the company
said.

Google's monopoly power is under a lot of scrutiny right now

Anything that suggests monopolistic behaviour is bad news for
Google right now.

The company is under considerable scrutiny for its practices in
search and mobile, and there has never been greater regulatory
appetite for a break-up.